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MUNICIPAL AIRPORT AUTHORITY

The Regular Meeting of the Municipal Airport Authority of the City of Fargo, North Dakota, was held Tuesday, April 28, 2020 in the Airport Boardroom.

The members present or absent were as follows:
Present:Lind, Engen, Cosgriff (via Zoom), Haugen, Linn
Absent: None
Others: Bossart (via Zoom), Strand (via Zoom)

Chairman Linn presiding.

Approved the Minutes of the Regular Meeting of the Municipal Airport Authority Held April 14, 2020:
The minutes of the Regular Meeting of the Municipal Airport Authority held April 14, 2020, were approved without objection.

Approved the Airport Vouchers Totaling $43,702.62:
Mr. Engen moved to approve the airport vouchers totaling $43,702.62.
Second by Mr. Lind.
On the call of the roll, members Lind, Engen, Cosgriff, Haugen, Linn voted aye. No member being absent and none voting nay the motion was declared carried.

Received and Approved Proposed Construction Services Agreement with Mead & Hunt, Subject to Independent Fee Review:
Mr. Dobberstein stated Mead & Hunt has a proposed contract for Construction and Project Closeout Services for the Cargo Apron Expansion – Phase IV Project. The proposed maximum cost of the services is $1,382,500.00, plus $9,352.00 for the project closeout services for the supplemental grant portion of the project and $9,352.00 for the project closeout services for the AIP Grant 50 portion of the project.
Mr. Dobberstein stated this agreement is subject to a fee review by an independent engineer. He stated Mr. Wes Schon has been conducting those reviews for us. He stated he received Mr. Schon's preliminary report but has not yet had a chance to review it thoroughly.
Mr. Engen moved to approve the proposed Construction and Project Closeout Services Agreement with Mead & Hunt for a total of $1,402,204.00, subject to satisfactory independent fee review.
Second by Gen. Haugen.
On the call of the roll, members Lind, Engen, Haugen, Cosgriff, Linn voted aye. No member being absent and none voting nay the motion was declared carried.

Received Proximity Agreement for Luxsun 25th Street N Addition:
Mr. Dobberstein stated he noticed this item on the Planning Commission's agenda. He stated any time there has been a change in zoning around the airport we alert the Planning Commission. He stated we have been working with Mr. Don Kress along with Attorney Bossart to come up with a standard proximity agreement that the City engages to recognize the airport along with the sewage lagoons, etc. He stated most of the properties in this area that have already been platted and developed went through this same process. He stated he and Attorney Gary Stewart worked with the Planning Commission at that time. He stated this is another parcel of property changing from ag to limited industrial.
Mr. Lind moved to approve the Proximity Agreement with Luxsun 25th Street North Addition. Second by Mr. Engen.
Gen. Haugen stated it seems like the initial owners are always cognizant of the restrictions and noise, it is the subsequent owners that are the ones that raise a fuss about airport noise.
Mr. Dobberstein asked Attorney Bossart if we have heard anything back from the property owner.
Attorney Bossart stated she has not received any feedback yet but expects to hear back this week.
Chairman Linn called for a vote on the motion.
On the call of the roll, members Lind, Cosgriff, Haugen, Linn voted aye.
Mr. Engen abstained as he is a tenant in a property in Moorhead owned by this party.
The motion was declared carried.

Received Revised Aeronautical Service Agreement with Kinert Aviation dba Red River Aero and Fargo Air Charter:
Mr. Dobberstein stated this is basically a housekeeping item. He stated Mr. Lyle Andvik is the owner of Red River Aero/Fargo Air Charter, who is an aeronautical service provider. He has operated a charter service on the airport for a number of years. He stated aeronautical service providers are able to do business on the airport as long as they have a relationship or contract with either a full service FBO such as Fargo Jet Center, or a limited service FBO such as Fargo Aircraft Maintenance. He stated the monthly fee would be a minimum of $200 per month or 1.5% of gross revenue, whichever is greater. He stated Mr. Andvik was previously operating under Vic's Aircraft Sales but will now be operating under Fargo Aircraft Maintenance.
Mr. Engen moved to approve the revised Aeronautical Service Agreement with Kinert Aviation dba Red River Aero and Fargo Air Charter.
Second by Gen. Haugen.
All members present voted aye and the motion was declared carried.

__Received Bid Tabulation and Recommendation of Award from TL Stroh Architects for SRE Building Fuel System and Construction Testing Services:
Mr. Dobberstein stated this was one of the items that was in the bid opening for the SRE Building for which we awarded the general, electrical and mechanical contracts. He stated we re-bid the Fuel Dispensing and Storage System portion as the only bid received originally could not be opened as it did not meeting bid requirements.
Mr. Dobberstein stated on April 17 we received bids from Valley Petroleum Equipment and O' Day Tank and Steel. He stated both bids included an alternate for a fiberglass fuel and storage tank, but O' Day Tank & Steel was the low bidder at $274,286 and a deduct of $3,967.97 for the Alternate 1 deduct.

Mr. Dobberstein stated we also received bids for Construction Testing Services as follows:
Terracon $19,016.00
Braun Intertec $25,936.00
Northern Technologies $27,050.00

Mr. Terry Stroh, TL Stroh Architects, was recognized (via Zoom) and stated this bid included an option for a fiberglass tank, but most project owners go with the metal tank.
Mr. Dobberstein stated the fiberglass tanks are new technology and he doesn’t know much about them and he has not had a chance to talk with Mr. Jim O’Day to see what he would recommend. He stated right now he would concur with going with the metal tank as the precautions and technology that have been put into them in the last 10-20 years have come a long way.
Gen Haugen moved to award the bid for the Fuel Dispensing & Storage System to O’Day Tank & Steel as per their base bid of $274,286.00, and award the bid for Construction Testing Services to Terracon for their bid of $19,016.00.
Second by Mr. Engen.
On the call of the roll, members Lind, Engen, Haugen, Cosgriff, Linn voted aye. No member being absent and none voting nay the motion was declared carried.

Received and Authorized Acceptance of CARES Act Grant Offer from the FAA, Subject to Review by Legal Counsel:
Mr. Dobberstein stated Congress in their CARES Act carved out $10 billion to be distributed to hundreds of airports across the country. He stated unless something changes in the next 24 hours, Hector Airport’s share of the funding is $21,637,515. He stated when the announcement was originally made, there was no expiration date for the funds but there is now a four year period in which the funds must be used. He stated he has conference calls multiple times a week with the AAAE and FAA on the allowable expenses for the funds. He stated last week he signed the grant application which was provided by the FAA. He stated at that time they indicated we would receive the grant no later than yesterday, but we have not yet seen the grant. He stated with the board’s acceptance today we will have Attorney Bossart review the grant when we receive it. He stated the funds will be held by the FAA and we will draw down funds just as we do with FAA AIP projects. He stated the FAA is still refining definitions of their policy. He stated the funds will be put to good use.
Gen. Haugen stated a local news station has done two stories on the disparity in the amounts that airports are receiving. He stated they did not have FAA officials commenting in the stories but it was indicated that the FAA was going to review the grant amounts. He stated the program still has some turmoil to address.
Mr. Engen moved to accept the CARES Act Grant Offer from the FAA, subject to review by legal counsel.
Second by Mr. Lind.
On the call of the roll, members Lind, Engen, Haugen, Cosgriff, Linn voted aye. No member being absent and none voting nay the motion was declared carried.

Discussed ND Insurance Reserve Fund - ND Public Health Insurance Trust - For Group Health Insurance and Other Benefit Programs:
Mr. Dobberstein stated on April 7, Brennan Quintus with the ND Insurance Reserve Fund, sent a notice to all public agencies within the state informing them that NDIRF has recently partnered with the Southeast Education Cooperative (SEEC) to create the North Dakota Public Health Insurance Trust (NDPHIT). He stated the primary function of NDPHIT is to provide local governments with group health insurance and other benefit programs and services within the scope of a Voluntary Employee Beneficiary Association (VEBA) trust. Overall, NDPHIT will provide North Dakota local governments with an opportunity to join together to create group health insurance and employee benefit program administrative cost stability and efficiency while also providing local governments with more control over their health insurance and other employee benefit programs.
Mr. Dobberstein stated NDIRF did set up some online meetings and he asked Mr. Engen to comment on that meeting.
Mr. Engen stated it was a very well put together presentation. He stated they have mastered their process of what they do and how they do it. He stated they used real time and real clients. He stated because this is for public entities everything was very much open and known. He stated they pointed out that the term "grandfathered" really only applies when what is grandfathered is better that what is being offered today. He stated they made a very good argument that coverage that is being offered today is probably better than anything that has been grandfathered. Mr. Engen stated we need to do more research on it and he thinks the City of Fargo should make an effort to go through the presentation and compare apples to apples to see if something like this benefits the City of Fargo and the employees of the City of Fargo as well as our process.
Mr. John Strand was recognized (via Zoom) and stated the City of Fargo will welcome any and all explorations of anything that could benefit all of their employees. He asked if anyone has communicated with the City's HR department or do they need to initiate this.
Mr. Dobberstein stated he would assume the City's HR Department should have been on the email distribution list so they should be aware of it. He stated according to the email we received it was sent to every government entity in the state.
Mr. Engen stated we can provide Mr. Strand with the contact information today. He added that one thing he found interesting is that the NDPHIT were very open to any problems they had and solutions they had found.

Recognition of Fargo Jet Center as a Top Aviation Service Company in the 2020 Aviation International News FBO Survey:
Mr. Dobberstein congratulated Mr. Jim Sweeney (joining via Zoom) and the Fargo Jet Center for once again being ranked as a top aviation service company in the 2020 Aviation International News FBO Survey. He stated this is a ranking decided by the users coming through FBO facilities all over the world. He stated this is a big deal for not only Fargo Jet Center but also for Hector Airport and the entire community to know that we have a top level aviation service company operating in our community and our state.
Mr. Jim Sweeney was recognized and stated they really appreciate this and they share this recognition with all of their partners at the airport and in the community, the Airport Authority, US Customs and Border Protection, the FAA people in the tower and the FAA tech ops employees. He stated all of those efforts contribute to them taking care of their customers and providing an experience that they remember and rank us so highly. He stated we missed the top 5% by 1/100th of a point. He stated the other top ranking FBOs are in major metropolitan areas and they are destinations. He stated Fargo is probably the smallest community in the top rankings. He stated they are very proud of their team at FJC who are on duty 24 hours a day, seven days a week.

Presentation of High Flyer Award:
Chairman Linn stated our High Flyer Award program has been delayed due to the current circumstances, but we are pleased today to be able to present our very first High Flyer Award. She stated this award recognizes a person who provides exceptional client service, has an ongoing commitment to making the MAA and Hector International Airport a premier provider of services, goes above and beyond their job expectations and shows personal integrity in handling challenging situations. She stated our very first High Flyer Award goes to Darlene Jose, who is joining by Zoom today. Mr. Dobberstein stated Darlene, retired after a long distinguished career with the Federal court in Fargo, has been involved in the Airport Information Center as the volunteer coordinator for many years, first with the FMCVB and now with the Retired Senior Volunteer Program (RSVP). He stated Darlene has spent hours and hours at the Information Center coordinating volunteers, maintaining materials and information manuals, and assisting passengers. He stated Darlene has also coordinated the administration of the TSA precheck events we have had at the airport the past couple of years and we have one scheduled in June. He stated Darlene continues to go above and beyond to assist passengers either in person or on the phone. He stated Darlene and her husband, Ralph, have also been long time supporters and volunteers at the Fargo Air Museum and have also been on the Fargo Airsho Committee since its inception. He stated we have a certificate we will present to Darlene and he thanked her for all of her work for the airport.
Chairman Linn stated we look forward to hopefully having Darlene join us at a future meeting and asked the board to give her a round of applause.

Air Service Update, Airport Construction and Security Update:
Mr. Dobberstein stated at the last meeting he gave an air service update and advised that Frontier had filed a petition with the DOT to suspend service at 35 airports around the country from mid-April until June 10. He stated they later filed an amendment to take two airports off that list and proceed with 33 airports. He stated in the last couple of days the DOT rejected Frontier’s request to suspend service to 33 communities but are allowing them to suspend service to three of the 33 communities, and Fargo is not on that list. He stated Frontier will provide at least one flight per week to Fargo. He stated he will be visiting with Frontier representatives later today.
Mr. Dobberstein stated passenger boardings nationwide are down 90-95% and getting the travelling public back is going to be a challenge. He added that the TSA’s plan to change the x-ray machine at the checkpoint is on an indefinite hold.
Mr. Dobberstein stated we do have a contract that is pending with Mead & Hunt to do a passenger terminal expansion study, which is needed before we can justify the expansion of the terminal building. He stated the terminal expansion would also include reconstruction and expansion of the terminal ramp and replacement of the boarding bridge at Gate 4, along with a whole host of other items. He stated we may move forward with that after further discussion with the FAA and ND Aeronautics Commission.
Mr. Dobberstein stated the FAA finalized the list of a few hundred airports at which control towers would have reduced hours and Fargo was not on that list, primarily due to the fact that we do not have pilot controlled runway lighting. He stated our tower will continue to operate 24/7.
Gen. Haugen stated he read an interview done with the president of Delta Air Lines and he said it is going to take Delta three years to get back to where they were. He added that Virgin Atlantic is for sale and if it is not sold by the end of May it will probably be liquidated. He stated there are casualties starting quite quickly.
Mr. Terry Stroh, TL Stroh Architects, was recognized and stated the contracts for the SRE Building have been delivered to Mr. Dobberstein and we need to issue Notices to Proceed to the contractors. He stated they are working on shop drawings and waiting for a building permit. He stated the project has not been slowed down at all and we should be starting soon.
Mr. Dobberstein stated he did work with the COF Inspections Department this week to get the address assigned to the building and he does have a box full of contracts he is going to take to Attorney Bossart today for her review. He stated upon her review and concurrence we can move forward with a Notice to Proceed for each of those five contracts.
Mr. Dobberstein stated on Thursday we will be opening bids for the Cargo Apron Expansion Project and also the Car Rental Ready Lot Reconstruction Project. He stated those bids should be awarded at our meeting on May 12.

Other Business:
Mr. Erik Johnson, City Attorney, was recognized (via Zoom) and stated there was a question raised at the MAA meeting two weeks ago regarding the NDPERS issue for the airport firefighters. He stated following that there was a meeting with Mr. Dobberstein, Mr. Engen, Mr. Strand, the mayor and other COF staff members. He asked Mr. Strand to give an update from that meeting.
Mr. Strand was recognized (via Zoom) and stated he does not have the notes from the meeting in front of him and asked Attorney Johnson to continue.
Mr. Johnson stated he was not at the meeting but from what he understands there was discussion about the NDPERS issue. He stated the question is whether the airport firefighters can enter a NDPERS account for public safety employees. He stated the mayor had also suggested investigating the airport firefighters joining the City of Fargo firefighter’s pension plan. He stated the narrower question left for he and Attorney Bossart was whether or not NDPERS allowing the Airport firefighters to join the NDPERS public safety plan would trigger the need for all COF safety workers (Police and Fire) to join the same NDPERS plan and that would then be a non-starter. He stated he has reached out to someone with the ND Attorney General’s office to discuss that matter.
Chairman Linn stated we did have discussion on this matter at our meeting on April 14 and at that time Mr. Johnson indicated he was going to have answers for us at this meeting today.
Mr. Engen stated the meeting Mr. Johnson referenced ended with the COF indicating they would put together a comparison between the NDPERS Public Safety Retirement Plan and the COF Fire Fighters Retirement Plan. He stated we have not yet received that comparison so he feels it would be premature to discuss this prior to receiving that information.
Mr. Dobberstein stated that five of the current ten airport fire employees are eligible for the NDPERS Public Safety Plan but have yet to be able to move to that plan. He stated we have two retirements coming up this year and the two new employees would definitely be eligible for the Public Safety Plan and we would like them to have access to it if they so desire.

The meeting of the Municipal Airport Authority was adjourned until the next Regular Meeting to be held Tuesday, May 12, 2020.